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City school board approves budget for upcoming school year

Butler Area School Board on Monday night approved a $104-million 2020-21 budget that does not include a real estate tax increase.

The $104,245,552 budget is slightly more than the 2019-20 budget of $104,224,013 and holds the line on the tax rate of 104.03 mills.

A $689,975 million budgetary reserve is included in the budget to adjust for loss in revenue or unanticipated expenses.

Revenue includes $52.3 million from local sources, $47.8 million from the state and $4 million from the federal government.

Local sources include $41.1 million from property taxes and $6.4 million from earned income and other Act 511 taxes. The projected property tax revenue is down $870,000 from 2019-20

State sources include $25.9 in basic education subsidies, $7.4 million in retirement contributions, $4.7 in special education subsidies and $3.1 million in transportation subsidies.

Expenditures include $43.7 million for salaries, $30.3 million for employee benefits, $14 million for purchased services, $7.3 million for other financing uses, $3.8 million for purchased professional and technical services and $2.6 million for supplies.

No employees are being furloughed or suspended, but the district is suspending hiring permanent new employees unless their positions are mandated due to the COVID-19 pandemic.

A 5-percent budget supply reduction is being proposed, while professional development and training expenses are also being reduced.

A $600,000 contribution to the capital fund is included in the budget.

Currently the district has $119,897,431 in outstanding debt of which $41,258,433 is interest.

This is a breaking news story. For more about the budget, make sure to pick up Wednesday's Butler Eagle.

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